This influential essay introduces Aggregation Theory, which explains the power of internet companies like Google and Facebook that aggregate demand. It explores how zero distribution costs enable them to scale rapidly while owning the user relationship. A must-read for understanding platform dominance in digital markets.
platforms
4 resources tagged with platforms
Saurabh Nair outlines the fundamentals of marketplace businesses, emphasizing the value of enabling transactions between buyers and sellers. He describes monetization strategies such as commissions, listing fees, and value-added services. A solid primer for operators and analysts entering the platform economy.
This article presents the first level of the Hierarchy of Marketplaces framework, focusing on creating user happiness and scalable engagement. Tavel draws on real examples to show how leading marketplaces like Etsy and Airbnb progressed through each level. Useful for marketplace builders aiming for long-term defensibility.
Joost Rietveld unpacks how freemium strategies can be effective if properly executed. He draws parallels between SaaS, gaming, and content platforms, exploring key levers like conversion rates, engagement triggers, and monetization points. A thoughtful read for those designing freemium models or evaluating them.